Alcatel-Lucent Completes the World's First Data Call on a Live LTE Network in the 800 MHz "European Digital Dividend" Spectrum Band

PARIS, November 19 - Alcatel-Lucent (Euronext Paris and NYSE: ALU) successfully
completed the worldwide first long term evolution (LTE) data call on the 800
MHz "European Digital Dividend" (EDD) spectrum band in a live network. The
call was completed in October at Alcatel-Lucent's 4G/LTE end-to-end solutions
center in Stuttgart, Germany, involved transmitting high-definition video
streaming over the air using Alcatel-Lucent's commercial infrastructure
platforms and prototype mobile devices.

This first EDD call in a live LTE network marks a milestone
for the introduction of LTE in the European market, and highlights
Alcatel-Lucent's readiness to provide mobile operators with a commercial
solution as soon as regulatory decisions on EDD will be made. In Germany, for
instance, a frequency auction including the 800 MHz spectrum band is expected
to take place in the 2nd quarter of 2010. The 800 MHz spectrum is
particularly well suited to bringing mobile broadband Internet services to
rural areas.

"This is a major breakthrough on our path to become the first
vendor to offer a commercial solution for the 'Digital Dividend` spectrum",
said Ken Wirth, President of Alcatel-Lucent's LTE/4G Solutions. "Our goal is
to quickly and effectively support operators in their plans to further
enhance the availability of broadband services all over the region, so we
adapted our LTE solution to the 800 MHz frequency band quite early on and we
are now working with customers on field trials."

Deploying LTE at 800MHz has a clear benefit for operators
which can require fewer sites to cover rural areas, thus reducing overall
environmental impact. 800 MHz spectrum LTE deployment could be an ideal
complement to a 2.6GHz spectrum LTE deployment where smaller cells are
required, in a dense urban environment for example. Alcatel-Lucent has live
2.6GHz LTE networks in Stuttgart and Vélizy in France and its 2.6GHz radio
modules are CE marked, clearing the way for shipment of 2.6GHz LTE base
stations in the European Economic Area (EEA).

Background on the 4G/LTE solutions center in Stuttgart

At its German headquarters located in Stuttgart,
Alcatel-Lucent has installed an end-to-end solutions center for 4G/LTE. The
solutions center consists of a complete LTE end-to-end network, including an
"on the air" radio network in the Northern District of Stuttgart. For several
months Alcatel-Lucent has been successfully testing 4G/LTE mobile services on
the 2.6GHz spectrum band. In these tests, Alcatel-Lucent achieved very high
data rates of up to 60 Mbit/s in the 10 MHz spectrum and very short
round-trip delay, or "latency" times. The tests include innovative
LTE-enabled applications which give mobile users a rich experience comparable
to that available on fixed networks today.

Background on Alcatel-Lucent's LTE position

Alcatel-Lucent is a leading player in LTE, and is actively
engaged in the majority of LTE projects being pursued by operators around the
world, including both commercial deployment and trials with operators
including Verizon Wireless, Telefonica, Etisalat, FT/Orange and NTT DoCoMo.

For more information about Alcatel-Lucent's end-to-end LTE solution,
please visit: www.alcatel-lucent.com/lte

About Alcatel-Lucent

Alcatel-Lucent (Euronext Paris and NYSE: ALU) is the trusted
partner of service providers, enterprises and governments worldwide,
providing solutions that to deliver voice, data and video communication
services to end-users. A leader in fixed, mobile and converged broadband
networking, IP technologies, applications and services, Alcatel-Lucent
leverages the unrivalled technical and scientific expertise of Bell Labs, one
of the largest innovation powerhouses in the communications industry. With
operations in more than 130 countries and the most experienced global
services organization in the industry, Alcatel-Lucent is a local partner with
a global reach. Alcatel-Lucent achieved revenues of Euro 16.98 billion in
2008 and is incorporated in France, with executive offices located in Paris.
For more information, visit Alcatel-Lucent on the Internet:
www.alcatel-lucent.com

Peter Benedict, Tel: + 33(0)1-40-76-50-84, pbenedict at alcatel-lucent.com; Valérie La Gamba, Tel: + 33(0)1-40-76-12-28, valerie.la_gamba at alcatel-lucent.com; Alcatel-Lucent Investor Relations: Rémi Thomas, Tel: + 33(0)1-40-76-50-61, remi.thomas at alcatel-lucent.com; Tom Bevilacqua, Tel: +1-908-582-7998, bevilacqua at alcatel-lucent.com; Tony Lucido, Tel: +33(0)1-40-76-49-80, alucido at alcatel-lucent.com; Don Sweeney, Tel: + 1-908-582-6153, dsweeney at alcatel-lucent.com